Conference report #2 makes the following changes to the 2nd edition.

Changes the long title.

Makes a technical change to proposed subdivision (5) of GS 115C-321(a).

Amends GS 115C-45(a), concerning the judicial functions of a local board of education, to establish that the local boards of education may request the chief district court judge or judge's designee to grant approval for the local board of education to issue a subpoena for the production of tangible things (previously, subpoenas for the production of tangible things may be issued by the local board without judicial approval) in matters where an employee is suspected of committing job-related misconduct and which, in the discretion of the board (previously, the board or superintendent), require investigation. Establishes that subpoenas for the production of tangible things may include, but are not limited to, documents, papers, letters, maps, books, photographs, films, sound recordings, magnetic or other tapes, electronic communications, electronic data-processing records, artifacts, or other documentary material, regardless of physical form or characteristics. Sets out four factors the judge must consider in making the determination to approve the subpoena: (1) whether the subpoena allows reasonable time for compliance, (2) if the subpoena requires disclosure of privileged or other protected matter and if any exception or waiver applies to the privilege or protection, (3) whether the individual would be subject to undue burdens or expenses, and (4) whether the subpoena is otherwise unreasonable or oppressive.

Changes the effective date of Sections 1 and 2 to October 1, 2016 (previously, October 1, 2015).

Directs the Program Evaluation Division (PED) to conduct a comprehensive study of the procedure set out in Article 31 of GS Chapter 115C for resolving education funding disputes between local boards of education and boards of county commissioners. Specifies information required to be included in the study.

Requires the PED to report its findings and recommendations to the Joint Legislative Program Evaluation Oversight Committee no later than May 17, 2017. Mandates all State departments and agencies, local governments, local boards of education, and their subdivisions to provide any necessary information, data, or documents within their possession, ascertainable from their records, or otherwise available to them to the PED to complete the review and study.